What is Dogecoin?:Internet meme turned fortune?

Dogecoin is a cryptocurrency with a “doge” a short lived internet meme as its logo.Its a Japanese shiba inu dog popularized by an internet meme in 2010. Created in 2013 and quite similar to Litecoin. It is an open source peer to peer digital currency and effectively the 3rd most popular cryptocurrency after Bitcoin and Litecoin. It is a new and fun cryptocurrency rapidly growing. Like other cryptocurrencies it is also decentralised. Besides being completely anonymous it is extremely secure.

Though launched as a parody of the multitude of alternative cryptocurrencies this cryptocurrency first gained a value of $1 billion on christmas day last year and nearly two weeks after that crossed $2 billion barrier. In december it rose to more than 400 percent. Dogecoins provide superfast transactions, with no network congestion and a transaction fees of 1 dogecoin (which is about $0.01 USD).

There are various ways to get dogecoins. They can be bought at online exchanges, get as a tip in the cryptocurrency and even mine them. Bitcoins is the most convenient method used to exchange for dogecoins. A bitcoin is either bought or mined and those coins are transferred to an exchange that has a Dogecoin market. There are communities that often tip in Dogecoin if you provide something useful to them. Another way of obtain Dogecoins is mining. It is similar to that of Bitcoin. They can be mined using computers with a capacity for mining and 24/7 power supply.It means having a computer program solve some complex mathematical equations. As a reward to solving th equations the miners get dogecoins. The more powerful a computer, the faster it will mine and the more coins one will get. It can also be mined without using a graphics card, although the progress will be slower.

Dogecoin being a virtual currency can be used to purchase goods and services or to tip others or exchange it with other currencies. It can be used just like any other type of currency. The main difference is that Dogecoins exist only online and can never be held or exchanged like paper money. Dogecoin exists by way of something known as a blockchain. It helps keep everything in order. When Dogecoins are either traded or exchanged, all of these transactions are kept in a public ledger that everyone can see. Unlike the traditional banking transactions, in which details are only viewed by the parties involved in the transaction.Even though all Dogecoin transactions are public information, the names behind each and every transaction are anonymous. This way only the amount of Dogecoin traded can be known and there is no way of knowing who was on the giving and receiving ends of these transactions.This assures the public that one user is not simply sitting back and creating Dogecoins to use as freely as their will.

Unlike other cryptocurrencies which have a limit on the number of coins that can be produced or mined, there is no limit to how many Dogecoins can be produces and thus it an inflationary coin. Initially Dogecoins were to have a limit of 100 billion coins, but this mark has already been crossed. Currently there are 113 billion coins in circulation. The blockchain verifies the amount of Dogecoins being transacted and matches them with the amount of Dogecoins that exist currently.

No one can tell for sure what is the future of a particular cryptocurrency. Due to no limit to its production the value of Dogecoin is expected to inflate after some time but not in near future. Since its release in 2013 Dogecoin has taken the Altcoin scene by storm. With its current value over above $2 billion this cryptocurrency has definitely made a mark in the virtual world.